The Global Telehealth Market Size was valued at USD 91.4 Billion in 2023 and is anticipated to reach USD 789.7 Billion by 2032 with a CAGR of 27.4% from 2024 to 2032.

Telehealth encompasses the provision of healthcare services through digital platforms and telecommunications technologies, enabling remote access to medical care, health information, and education. Its technologies include live video consultation, mobile health applications, asynchronous data transfer, and RPM, making it a complete model of virtual care.

Given its fast growth, telehealth is changing the healthcare industry by providing available, effective, and timely medical care to millions of people globally. Telehealth thereby makes use of digital tools in realigning itself with the healthcare system to fill the gaps that may be existing as well as improving interactions between the providers and the patients. It is revolutionizing the conventional health care model and contributing to the new generation of health care organizations.

Telemedicine or telecare or more lately, e-health or m-health (mobile health) is intended to increase the availability of care, especially for people living in developing or rural regions. Telehealth breaks the geographical barriers through which important medical services are delivered to areas of need, thus availing convenience and continuity.

One of the most important purposes of telehealth is to increase safety during viral infections, including COVID-19, by avoiding direct contacts. It also provides access to basic care for various diseases, so that patients can receive the necessary medical help without visiting the clinic. To the people with mobility issues, time limitations or lack of transportation, telehealth is the convenient option. It enables patients to get an opportunity to connect with providers and acquire services with ease. Also, telehealth creates opportunities to meet with medical specialists to ensure that such unique opinions and treatments can be provided even in remote regions. Telehealth also enhances the health care team and patient collaboration in care delivery among the health care team. This enhances continuity of care, meaning that patients can easily move from one phase of their treatment to another. Further, it engages patients with advice and self-management resources promoting active participation in the process of treatment.

Telehealth Market Dynamics

The rise in the incidence of chronic diseases and conditions is fuelling the global telehealth market through higher adoption of remote care. Telehealth as a component of telemedicine can be used to address the problems of chronic diseases’ patients, enhance the quality of their treatment, and decrease the costs of healthcare. The rise in the incidence of chronic diseases is likely to fuel the demand for telehealth hence further growth in the market.

The target demographic includes the ageing population and more cases of NCDs including cardiovascular diseases, metabolic disorders, Alzheimer’s, cancers, diabetes and mental illnesses are propelling the growth of the telehealth market. These conditions involve long term management and probably require the use of a comprehensive healthcare system. Telehealth presents a solution to these issues through leveraging on the lack of health infrastructure, financial capital and human resource in the delivery of healthcare services. For example, in the 2016 report on the Physician Supply and Demand by the Association of American Medical Colleges (AMMC), the organization predicted a shortage of physicians in the United States ranging between 61,700 and 94,700 by the year 2025. This increasing need for healthcare points to the need for the use of telehealth in filling the gaps as they are witnessed.

Besides, the increasing incidence of chronic diseases in combination with continuously growing healthcare costs and the implementation of health information technology is also driving the telehealth market. For instance, the Veterans Health Administration (VHA), the largest integrated health care system identified in the United States has successfully implemented of different types of telehealth interventions for delivering routine as well as targeted care management services. Moreover, it was reported that telehealth and telemedicine payments were 28% higher in 2016 compared to 2015 while the claims reached 33% in the same period, pointing to the increasing utilization of telehealth solutions in healthcare organizations.

The high costs associated with healthcare IT tools present a significant challenge to the global telehealth market. Implementing telehealth solutions demands substantial investment in infrastructure, including systems, software, and hardware, which can be a major barrier for healthcare providers, particularly those with constrained financial resources. The expenses tied to acquiring, deploying, and maintaining telehealth platforms often deter adoption by smaller or underfunded organizations.

Moreover, the complexity of integrating telehealth tools with existing healthcare systems and ensuring seamless interoperability can further escalate costs. Additionally, training healthcare professionals to efficiently use these technologies adds to the financial burden, making it difficult for some healthcare providers to embrace telehealth despite its potential benefits.

Global Telehealth Market Segment Analysis

Telehealth Market By Component

·       Software

·       Hardware

·       Services

By component, the services segment dominated the market in the telehealth market in the year 2023. This dominance can be also explained by the trend towards consulting, remote monitoring, and constant technical support from telehealth service providers. Also the adoption of advanced telecommunication technologies has integrated with health care system and has pushed toward the service based model that has become a major reason for this segment to develop.

Telehealth Market By Delivery Mode

·       On-Premise

·       Web-Based

·       Cloud-Based

The delivery mode segment for cloud-based is expected to capture the largest market share in the telehealth market. This growth is a result of rising demand for efficient, affordable and capital-light telemedicine services that entail little capital expenditure. The nature of cloud systems makes it easy to store, transfer and access data in real-time, which is suitable for telemedicine. Also, increased safety measures provided by cloud systems help to mitigate dangers connected with data protection and meeting healthcare requirements. Their applicability is additionally boosted by the growing popularity of subscription-based services and the development of cloud computing technologies. Since flexibility and interoperability are crucial for healthcare providers, the segment based on the cloud approach will become the leader in telehealth.

Telehealth Market By Application

·       Teleconsultation

·       Telestroke

·       Teleradiology

·       Telepsychiatry

·       Teledermatology

·       Other Applications

According to the telehealth market forecast, the teleconsultation segment is expected to have the maximum market share in the telehealth market in the future years. This dominance is due to its versatility in various specialties and its central contribution to the development of health care in the geographically isolated and underdeveloped areas. Teleconsultation is the virtual consultation between patients and physicians for normal and emergency consultations without physical contact. This is coupled with the fact that the rate of chronic diseases is continuing to rise, there is growing need for second opinion, and there is improvement in communication technologies. Furthermore, expanding demand for efficient and cost-effective healthcare delivery and seamless incorporation of teleconsultation services into current frameworks should also contribute to the expanded market share of the teleconsultation market.

Telehealth Market By End-User

·       Healthcare Facilities

·       Homecare

·       Others

Telehealth market is expected to be dominated by the healthcare facilities segment during 2024 to 2032. This dominance is attributed to the high usage of telehealth solutions in hospitals, clinics and specialty centers for improving patient care and organization effectiveness. Healthcare facilities use telehealth technologies for consultation, monitoring, follow-up appointments, which decreases patient’s waiting time and specialists availability. The combination of telehealth with EHRs and improved diagnostics adds to the weight of its adoption. Furthermore, the increasing rate of chronic diseases, the pressure to decrease the overall healthcare expenses, and improve the efficiency of resource use should also contribute to the fact that healthcare facilities will remain the leaders in the telehealth market in the given period.

Telehealth Market Regional Analysis

The North America telehealth market size was USD 50.65 billion in 2022 and is expected to experience significant growth during the forecast period. The major drivers which have propelled this growth include large investment in the healthcare IT, internet and smartphone usage and evolving needs of chronic disease management through Health IT solutions. Firstly, the leading telehealth providers in the region have established strong roots, and the growing emergence of new start-ups will increase the use of telehealth platforms. Further, awareness and the need for higher level of healthcare services facilitate the market growth.

The Europe telehealth market is growing at a consistent rate owing to the technological development and increasing use of wearable devices, mobile health applications and telemedicine solutions. They include technologies that facilitate remote health monitoring and home healthcare delivery. For instance, in November 2023, AstraZeneca launched Evinova, a first-of-its-kind health-tech platform for transformation of life sciences through digital tools such as remote monitoring and digital treatments. It is important to underline that the above-mentioned pipeline presented by Evinova proves the region’s focus on improving patients’ outcomes by means of technologies.

The Asia-Pacific region is expected to become the fastest-growing telehealth market in the world in the forecast period. They attributed this growth to the large population of the region, the growing number of people moving into urban areas and the rising investment in areas of health and information technology. As more sophisticated technologies are expected to bring down healthcare costs by a large margin, the use of telehealth is rapidly increasing in the region. The factors like enhanced health care facilities, increasing consciousness toward digital health solutions, and government policies to extend the healthcare facilities also add value to the market statement in Asia-Pacific.

Telehealth Market Leading Companies

The Telehealth market players profiled in the report is AirStrip Technologies, American Well, Cerner Corporation, Cisco Systems, Dictum Health, Inc., Doctor on Demand, Doxy.me, GE Healthcare, Grand Rounds, Inc., Koninklijke Philips N.V., Masimo, MDLive, Inc., Medtronic plc, Siemens Healthineers, and Teladoc Health, Inc.

Telehealth Market Regions